Abstract
This paper examines the effectiveness of the law on the transfer of shares from a shareholder to an outsider in a limited liability company in China; in particular, it focuses on the validity of the share transfer contract when other shareholders’ pre-emption rights are infringed. It is argued that the current law in the Chinese Company Law 2005 is inadequate to protect the interests of share transferors and transferees; moreover, the case judgments on the validity of the share transfer contracts are inconsistent. Future law reforms are proposed by comparing with the English law in relation to the transfer of shares in private companies.
| Original language | English |
|---|---|
| Pages (from-to) | 101-108 |
| Journal | The Company Lawyer |
| Volume | 45 |
| Issue number | 3 |
| Publication status | Published - 1 Mar 2024 |
Keywords
- China
- Comparative law
- Limited liability companies
- Pre-emption rights
- Share transfers
- Shareholders' rights
- Validity